Quinch Inc, manufactures machine parts for aircraft engines. The CEO, Chucky Valters, was considering an offer from a subcontractor that would provide 2700 units of product PO107 for Valters for a price of $150.000. It Quirch does not purchase these parts from the subcontractor it must produce them in-house with the following unit costs: Direct materials Direct labor Variable overhead Cost per unit $35 22 In addition to the above costs, if Quirch produces part POHOZ, it would have a retooting and design cost of $11,000. The relevant costs of producing 2.700 units of product P07 internally are Me Choice 10400 4000